A new report claims that Apple has had to agree to a three-year Samsung Display contract because no other firm can make the screens needed for the iPhone Fold.
Apple likes having multiple suppliers, both to avoid over-reliance on any one source, and to play them off against each other in order to lower prices. Now a year ago rumor about Samsung Display producing iPhone Fold screens is reportedly confirmed, and the deal favors the supplier.
According to The Elec, Samsung Display proposed a three-year exclusive deal to supply the foldable OLED panels for the iPhone Fold. Reportedly, at present BOE's foldable panels as used by Huawei are considered inadequate, and Apple's other main supplier, LG Display, doesn't yet make folding screens for smartphones.
Both of those situations could change, and are likely to if the iPhone Fold is a success, but Apple will not be able to use anyone but Samsung Display until 2029 or 2030.
Other than the exclusivity window, no other terms are known. But it's likely to be particularly profitable as reportedly the firm had to justify supplying screens to a rival to Samsung's own smartphones.
Cautious ramp up
Despite conflicting reports of when the iPhone Fold — or iPhone Ultra — will launch, manufacturing tests are said to be underway. What this new report adds is that Apple is expecting to ship around three million of the iPhone Fold by the end of 2026.
That's based on how many panels Samsung Display is said to be preparing to produce. It's lower than some previous expectations of 8 million to 10 million, and the suggestion is that Apple is being cautious about demand.
This would be because the iPhone Fold is predicted to start at $2,325, or close to double the base price of the current highest-end iPhone 17 Pro Max.
If correct, it's Apple's most costly new product launch since the Apple Vision Pro.
